Govt. of India, Ministry of Transport took over the local bus services of Delhi in May 1948 in the name of Delhi Transport Service when they found that the services offered by Gawalior and Northern India Transport Company Ltd., the then licensee, were inadequate. A Delhi Road Transport Authority was constituted under the Road Transport Corporation Act, 1950. This Authority became undertaking of Municipal Corporation of Delhi by an Act of Parliament in April, 1958.